Do you know how to get the most value out of your credit cards? If you know how to utilize your rewards wisely, you can save a lot. Credit Card rewards program help you save a lot of money. Different credit come with different rewards and offers, and they remain valid for a particular period of time.
Most of the time, it happens that the rewards remain unclaimed. If you don't claim your rewards, you only lose because the cards that offer rewards usually the ones that come with annual fees. Therefore, make it a habit check your rewards at regular intervals and utilize the reward points and bonuses you have.
What are Credit Card Rewards?
Credit Cards refer to incentive offered to cardholder to encourage spending. Given that there are many competitions in the market with different companies to offer credit cards, many credit card companies offer additional benefits apart from credit to popularize their cards. You can turn these rewards into cash or redeem against a variety of services and products, and thereby save a lot.
How to redeem your rewards and utilize them to the fullest
Many credit card companies may not notify you about the rewards they give. So, keep checking your credit card account to keep a track of the rewards you are entitled to get. There are various ways you can redeem your rewards. However, before redeeming your rewards offered, please read the terms and conditions applicable on it and see the expiry date. Listed below are some of the way you can redeem your credit card rewards in the UAE:
- Pay with your rewards/bonuses:
If your intention is to save cash or you want to spend less in your next purchase, then use your credit card rewards. Many credit cards these days allow you use your rewards points to purchase things at select outlets. You can pay for the entire purchase or part of it by using your rewards points. The only thing you need to make sure that your cards is accepted in your chosen outlet.
- Purchase Gift Card:
You can utilize your reward points to purchase gift cards. Certain retail shops offer additional benefits for redeeming your credit card rewards against gift cards.
- Buy Travel Tickets:
Credit Card rewards can be sued for booking flight tickets. Many credit card companies offer great airline discounts for rewards points. You can redeem your rewards against domestic and international flight bookings. Some credit cards offer good deals on domestic flight booking while others offer on international bookings. The rewards points may also apply for train ticket booking. You may be able to pay for a whole trip by using your rewards. However, please check the rewards point conversion rates before you convert your rewards book a flight ticket using your rewards. Many credit cards also offer cash back benefits for making certain travel bookings with select credit cards.
- Hotel Booking:
You can also use your reward points to book hotels. Rewards offered by many credit cards can redeemed against hotel bookings. This usually applies for hotel bookings done through select online sites.
- Donate for charity:
You can also donate your points instead of spending them on something you don't need. Many credit cards provide the option to donate your points or miles to someone who really needs them. It can be done by logging in into your account where there is an option for donating your points. You can also call your credit card provider and inform that you would like to donate your rewards. Such donations can be of great help during times of crises or natural disasters. However, it is important, you check the fees and charges involved in converting your rewards into donations.
- Turn your rewards into cash:
You can also turn your credit rewards points into cash. Many credit card companies enables you to redirect your rewards directly to your savings accounts and thereby save. The money received from rewards can be used for paying bills, clearing off existing debts or transferring money into various accounts.
Steps to follow while redeeming rewards:
These days you can easily redeem your credit card rewards. What you need is an access to internet connection. You can instantly redeem rewards online or with the swipe of your finger on your mobile phone. The following steps apply to almost all credit card accounts when it comes to redeeming your reward points:
- Log in to your credit card account
- Click on “Redeem Rewards Points”
- Select Point Range
- Select Item Category
- Apply for redemption.
However, there may be slight variation in the exemption procedure adopted by various bank.
No doubt, you can save a lot if you are claiming your credit card rewards. But, to avail these rewards if you are paying fees that outweigh the benefits, then you are at loss. So, be careful when you choose a credit and know the fees and charges involved in your card. Make sure your annual fees and other related charges don’t outweigh the benefits.
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